Written and reviewed by Corey Marino Founder & Finance Broker, FBAA member M-354085 · Diploma-qualified finance broker
Last reviewed 18 August 2026 · About Corey →
Answer first
The short answer
A practical guide to financing imported machinery, including deposits, staged payments, shipping, currency, commissioning and local support.
- Map staged overseas payments
- Separate equipment from soft costs
- Plan for shipping and commissioning risk
On this guide
Imported machinery can be financeable, but the transaction often needs more planning than a local dealer purchase. The machine may not yet be in Australia, the supplier may require staged payments, and the lender may not have usable security until shipping or commissioning is complete.
The answer first
Prepare the supplier contract, full specification, payment milestones, currency, freight and duty estimates, delivery timetable, warranty and local service plan before seeking finance. Separate the machine value from shipping, installation, software, training and building works because a lender may treat those components differently.
Map every payment milestone
An overseas supplier may request a deposit when the order is placed, a progress payment before dispatch and the balance before release. A conventional asset-finance settlement usually pays against an identifiable asset and final invoice. Those timings can conflict.
Create a schedule showing:
| Stage | Evidence to prepare | Funding question |
|---|---|---|
| Order | Signed contract and deposit invoice | Who funds the deposit? |
| Production | Progress evidence and milestone invoice | Will the lender fund before delivery? |
| Shipping | Bill of lading, insurance and tracking | When does title pass? |
| Arrival | Customs and duty documents | What costs sit outside the asset loan? |
| Commissioning | Installation and acceptance evidence | When is final settlement available? |
Do not assume all stages can be financed under one standard chattel mortgage. A deposit may need business cash or a separate facility until the equipment is delivered and accepted.
Currency and landed cost
The Australian-dollar cost can move between order and payment. Record the contracted currency, exchange-rate assumption and who bears conversion charges. Include freight, marine insurance, customs, duty, port handling, domestic transport, installation and testing. Keep a contingency for delays and cost changes.
The requested finance should reconcile to invoices. If a purchase is partly equipment and partly services, label each component rather than presenting one unexplained total.
How lenders assess the machine
Lenders consider whether the equipment can be identified, valued, insured, recovered and resold in Australia. A recognised manufacturer with local support may present differently from a custom machine with no established secondary market. Useful evidence includes model specifications, serial numbers, independent valuation, comparable Australian sales and details of local technicians and spare parts.
Software licences, tooling, foundations and installation may be essential to operation but have limited recovery value. The lender may reduce the financeable amount or require the business to fund those components.
Supplier and fraud checks
Verify the supplier's legal identity, trading history and payment details independently. Use a known telephone number to confirm any bank-detail change. Check contract terms for title, risk, inspection, rejection and warranty. A finance approval is not supplier due diligence.
For imports, confirm who acts as importer of record and when title passes. Obtain professional advice on customs and contracts where needed. The Australian Government finance hub provides general planning resources, but the specific import contract requires its own review.
Commissioning and cashflow
Allow for the period between deposit and productive use. The business may carry rent, wages and existing repayments while the machine is in transit or being commissioned. Stress-test delays, failed acceptance testing and lower initial output.
Match repayments to a realistic operating date. A longer term may reduce the regular payment but can outlast useful life or software support. A balloon reduces scheduled repayments by leaving principal due at the end; it is not a discount.
Documents that make the proposal clearer
- supplier contract and all invoices;
- equipment specifications and serial information;
- payment, shipping and commissioning schedule;
- landed-cost worksheet and currency assumptions;
- warranty, parts and local service arrangements;
- insurance plan;
- evidence of contracts, capacity constraints or cost savings; and
- current business financial information and liabilities.
X Lend maps the funding stages before selecting a lender. Formal terms, acceptable security and timing remain subject to the lender's assessment and the final documents.